We are entering the second crowdfunding campaign, it’s highly improbable that we conduct another, we strongly encourage you to get on board, our tech will reshape from who and how you acess information.
What’s more, we provide investors with favourable conditions: in order to protect you, the investment will be done using a convertible note, executable in the next (3rd) round with the valuation provided by a venture capitalist in 16 months with an expected valuation of 20MM USD. This convertible note will run with a CAP of 3,5MM EUR or a 30% discount, considerable incentive for the risk taken.
The problem this product solves
It’s been an awesome journey up to now, and this is just the beginning.
Let us explain why. Commons does what it does:
The Commons’ app was born due two reasons: 80% of word of mouth recommendations are successful and there are no mass market technologies that fully capitalises human characteristics.
People are the best discovery tool that exists, experienced by everyone with a simple: “You should visit this place, I know you’ll love it”. Obvious, right?
How the product solves it
You might know or follow thousands of people at social networks, but are you reaching the best people from whom to receive music, movies or places recommendations, among the 2 billionusers connected with a smartphone? Definitely no. They’re out there, but you can’t reach them.
Services like Facebook or Twitter created the social layer, where you import your
circles into your digital life or where you find people based on topics. We believe the next step is toautomatically connect people based on who and how they are, creating a truly efficient channel for the transmission of information.
This is why we created our app, a platform that automatically connects like-minded people to enhance word of mouth recommendations, using an affinity-network and artificial intelligence.
The affinity network is powered by our recommendation engine, which replicates the brain’s basal nucleus, highly scalable since it analyzes people, not contents
During July 2015 we developed a content analysis engine. With this engine we analyze 500.000 user profiles and more than 4.000.000 contents in one month, from music, entertainment and travel sites. This, summed to our affinity engine allowed us to develop a top notch technology:Autonomous Agents.
Product use cases
Please, take a look to the following infographic, meet Raymond and Mark:
Our focus is to take Autonomous Agents technology to everyone’s hand. To make this possible, we use our brand image and our app, which has a total addressable universe of +200 million userson EU and the US. Focusing on heavy- social services users, especially in that 47% of them used to content sharing and consumption.
Autonomous Agents, also called Virtual Personal Assistants, are one of the technology trends with high market potential to keep an eye on, Gartner – the tech referent – says so, starting this 2016 for the next 5 to 10 years:
“Machine learning gives rise to a spectrum of smart machine implementations — including robots, autonomous vehicles, virtual personal assistants (VPAs) and smart advisors — that act in an autonomous (or at least semiautonomous) manner. While advances in physical smart machines such as robots get a great deal of attention, the software-based smart machines have a more near-term and broader impact.”
Unique differentiator from competitors
We’ve been the first technological enterprise to use an affinity-based recommendation engine at the service of content discovery and consumption. This has allowed us to build our uniquecontextualized artificial intelligence.
On the other hand, we differentiate our technology through design, how we crafted our app is a clear example. Available on iTunes.
Last but not least, we position Commons aligned with other services, that’s why we are connected to +40 platforms such as Spotify, Instagram, IMDB, TripAdvisor or DevianArt and produce tools, our API, to allow third parties to use our technology and information, therefore generating a win-win situation.
Company revenue streams
We have a clear and defined objective, EXIT in 2018 at a minimum valuation of 85MM USD, leveraging our technology through our product and our user profiling. That’s our business model.
Some stats we will achieve to meet our goal, by 2018:
- + 50% user retention on our app
- +10 minutes/session of average usage time on our app
- +2.5 Million profiles linked to Commons
- 500 billion profiles on other networks analyzed
- 400 trillion of analyzed contents
- 1.8 million of Autonomous Agents created
One of our principles is: always prove you’re right. We’ve conducted several tests, from the concept to the technology, some of the most important findings:
- Concept test: 34 respondents: 94% would use the app, 91% perceived innovation
- Affinity engine test: 1127 votes, 75% successful recommendations
- Alpha test: 21 focus groups, 94% of respondents would use the app
- iOS soft launch for Spain and Betafamily test: 800 users, 6 minutes of average session duration, 1-day retention: 87,5% (benchmark*: 25,5%), 7-day retention: 33,4% (benchmark*: 10,2%), 30-day retention: 17,2% (benchmark*: 3,2%). (*Average Retention Rates for Mobile Apps, July 2015)
Next key objectives
We will use the funds obtained with this campaign to take Commons into the growth stage, please take a look to the use of funds section.
Our next objective is to increase our user base to and usage statistics, in order to generate attractive metrics for the next financing round and technologicall partenrships.
Achieved funding, total of 256k EUR:
- Our seed investors from McKenzie, Groupon and Mapfre
- Our 63 crowdfunding investors from 13 countries, clsoing the 45-day campaign in 6 days
- ENISA (National Innovation Company, Spain)
- Spain’s Ministry of Economy: EMPLEA-TU subsidy
We’ve used our funds to test our user acquisition channels and marketing actions, lowering user acquisition cost to 2 EUR/user, to create a 6.000 fans community and obviously to develop and test our technology. Burning only 11K EUR monthly. The donwside? Growth is almost impossible a that burn rate due to the lack of strong marketing actions.
Support is an important asset for Commons, and we’ve received a lot of it along the way:
- Phillip Morris, through their contest for entrepreneurial projects Hazlo Ahora. Winner out of 3.000 projects
- The Impulsando Emprendedores Program for Spanish startups
- Microsoft through their BizSpark program for innovative startups
- WebSummit 2015 (November, Dublin), where Commons was selected as one of the Alpha Class startups, selected out of 30.000 startups worldwide.
- Facebook, through their FbStart program, selected due to our development and growth potential (December 2015)